Global Manufacturing Readings Decline And China Says It Will Not Longer Work With U.S. On Climate Change

What happens abroad impacts MSCI members in North America. Here is the latest economic, trade, and other policy news of note for the last week:

• The Chinese Ministry of Foreign Affairs has said it will stop cooperating with the United States on military and climate matters in response to Speaker Nancy Pelosi’s (D-Calif.) trip to Taiwan. The decision was part of a list of eight measures the Chinese government plans to take in reaction to the speaker’s trip.
• The J.P. Morgan Global Composite Output Index fell to 50.8 in July from 53.5 in June. Output from manufacturers was a particular soft spot. The slowdown was led by developed nations. Output in the United States contracted for the first time since June 2020 and economic activity decreased slightly in the euro area for the first time since early 2021. Growth in Japan also declined. Click here to read PMI readings from around the world, including readings from steel, aluminum, and copper users.
• South Korea ran a trade deficit for the fourth consecutive month in July. It was the first time since 2008 the county had run a deficit four months in a row. The monthly gap stood at $4.67 billion and reflected a 9.4 percent year-over-year increase in exports and a 21.8 percent increase in imports. Exports to China, South Korea’s largest trading partner, fell 2.5 percent from one year earlier. Exports to the United States and the European Union expanded. Read more from Xinhua.